In General,if a Consumer Good Is Produced Domestically and Consumed

question 179

Multiple Choice

In general,if a consumer good is produced domestically and consumed domestically,an increase in its price will have which of the following effects?

• A)The consumer price index will increase relatively more than will the GDP deflator.
• B)The consumer price index and the GDP deflator will increase by the same amount.
• C)The consumer price index will increase relatively less than will the GDP deflator.
• D)One cannot generalize about the increase in the consumer price index relative to the increase in the GDP deflator.

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Definitions:

Stereotype

A common yet rigid and simplistic representation or notion of a specific kind of individual or object.

Fundamental Attribution Error

The tendency for observers to underestimate situational influences and overestimate personal dispositional factors when interpreting others' behavior.

Stereotype

A widely held but fixed and oversimplified image or idea of a particular type of person or thing.

Categorization

The process of recognizing, differentiating, and understanding objects or concepts by grouping them based on common characteristics.